Four large companies, namely Nippon Paint Co., Ltd., Akzo Nobel N.V., the Sherwin-Williams Company, and PPG Industries Inc., hold 59.7% share in the global high performance anti-corrosion coatings market. This makes the competitive landscape somewhat consolidated. In order to progress in the global market, these leading players have leveraged strategic collaborations with domestic vendors and increased their production capacities.

A report by Transparency Market Research finds that the global high performance anti-corrosion coatings market will rise at a lackluster 4.8% CAGR between 2015 and 2023 to reach a value of US$18.22 bn by the end of 2023 from US$11.94 bn in 2014.

Why is the oil and gas industry at the forefront of driving demand?

Serving to drive the global high performance anti-corrosion coatings market is the rapidly expanding oil and gas drilling and exploration activities across the globe. This is because, high performance anti-corrosion coatings aid in maintaining industry equipment, enhance the lifespan of metal surfaces, and thwarts damages. Such coatings also find application in storage tanks, oil rigs, transmission pipelines, and steel structures.

Other factors serving to up demand in the global high performance anti-corrosion coatings market are the booming automotive, construction, and manufacturing sectors. Posing a roadblock to the market, on the other hand, is the price volatility of petrochemical feedstock.

Going forward, new avenues of growth in the global high performance anti-corrosion coatings market will be created by the power and utilities sector on account of the surging demand. Many countries are investing in development of energy-efficient smart grids in order to satisfy the ever-surging demand for electricity and this is expected to push up demand for high-performance anti corrosion coatings.

What makes epoxy coatings the leading product segment?

Some of the products available in the global high performance anti-corrosion coatings market are acrylic coatings, epoxy coatings, and urethane coatings, among others, including alkyd coatings. Of these, at present, the epoxy coatings enjoy most of the demand on account of the swift pace of urbanization in the emerging economies of China and India in Asia Pacific. Developing nations in Latin America and the Middle East and Africa are also responsible for catalyzing demand for epoxy coatings, which are used to enhance the lifespan of steel pipes and for flooring in retail stores, hospitals, showrooms, and warehouses.

Why is Asia Pacific a leading region?

From a geographical standpoint, Asia Pacific is a dominant region in the global high performance anti-corrosion coatings market. Triggering growth in the market in the region is the burgeoning construction, power generation, tanks and pipes, oil and gas, and pipes sector. Asia Pacific market is expected to register a CAGR of 5.0% from 2015 to 2023.